State and Local Governments

Since independence Brazil has oscillated between centralization and
state autonomy. During the empire (1822-89), Brazil had a centralized
constitutional monarchy and little state autonomy. The emperor exercised
the moderating power by appointing senators for life, presiding over a
Council of State, removing and transferring police and judicial
officials at will, and appointing provincial governors.

The Old Republic was established in 1889 in part because of state
demands for greater autonomy. Until 1930 the larger and more powerful
states enjoyed great autonomy under a federal system patterned after the
United States model, but the smaller and poorer states constantly
suffered interventions by the central government. "Young Turk"
lieutenants (tenentes ) rebelled against this system of state
oligarchies in the 1920s and were prominent in the initial modernization
strategies after the 1930 revolution. From 1930 to 1945, the national
government centralized control over state and local governments by
appointing governors, who in turn appointed all mayors. Except for the
brief period of 1933-37, the national government closed legislatures at
all levels. The 1946 constitution reestablished a more balanced
federalism, but maintained central control over industrial, financial,
labor, election, and development policies. In October 1965, the military
regime began curtailing the autonomy of the states once again. From 1966
through 1978, the central government appointed state governors and
mayors of state capitals and some 170 designated selected cities deemed
vital to "national security." Active-duty army colonels were
appointed as security chiefs in each state. As part of its
"liberalizing opening," the military regime allowed direct
elections for governors in 1982. In November 1985, President Sarney and
Congress allowed direct elections for mayors of state capitals and
selected cities deemed vital to "national security."

Until 1994 state governors and vice governors were elected to one
four-year term, taking office on January 1 following their election. In
1998 those elected in 1994 may seek one consecutive second term. State
deputies are also elected to four-year terms but are not restricted to
one term. Governors have state cabinets, and their executive branch is
organized in a manner similar to the federal executive branch. Likewise,
state assemblies organize their legislative process like that of
Congress. After 1988 state assemblies lost their salary autonomy; state
deputies may receive up to 75 percent of the salary of a federal deputy.

State governments are responsible for maintaining state highway
systems, low-cost housing programs, public infrastructure, telephone
companies, and transit police. Both state and municipal governments are
responsible for public primary and secondary schools and public
hospitals. Municipal governments are also responsible for water,
sewerage, and garbage services. State tax revenues are concentrated in
sales taxes. State governments are allowed to operate state financial
institutions, most of which are a constant problem for the Central Bank
because they run heavy deficits, especially in election years. In 1995
the Central Bank intervened in some of the state banks with the worst
deficits (São Paulo, Rio de
Janeiro, Alagoas, and Mato Grosso) and
sought to privatize others. In October 1996, Brazil had 5,581
municipalities, of which more than 15 percent had populations under
5,000. The municipal taxing authority is concentrated on property and
service taxes.

Mayors and vice mayors must be at least twenty-one years of age and
are elected to one four-year term. Reelection is now permitted as of the
year 2000. City council members must be at least eighteen years of age
and are elected to renewable four-year terms under a proportional
representation system. From 1950 through 1970, municipal elections
coincided with general federal and state elections. Local officials
elected in 1970 were given two-year terms, so as to set local elections
two years out of phase with general elections (the next local elections
were held in 1972 and 1976). However, local officials elected in 1976
were given six-year terms to make municipal elections again coincide
with general elections in 1982, but in turn the latter also got six-year
terms to make local elections out of phase again (in 1988, 1992, and
1996).